"Late yesterday, beleaguered bookseller Borders Group (BGP) announced two executives resigned, Thomas D. Carney, the firm’s general counsel, and Scott Laverty, its chief information officer." (1/4/2010, Barron's)
And this comes after Borders delayed payments to vendors.
"The book chain Borders entered 2011 on an unsteady note, telling major publishers last week that it would delay payments owed to them, and stoking fears that it would not be able to recover from declining sales." (1-3-2010, NYT)
"PW has learned that at least one of the “big six” New York houses has suspended shipping books to Borders, a troubling sign for the company as it attempts to find lenders to refinance its debt and provide enough liquidity to get the national book retail chain through to early 2012." (12-31-2010, Publishers Weekly)
Bill Ackman's Pershing Square Capital Management owns 37% of Borders and on 12/6/2010 he offered to help finance a bid for Barnes and Noble.
"Hedge fund manager William Ackman is raising his wager on bookseller Borders Group Inc (BGP.N), offering to help it buy larger rival Barnes & Noble Inc (BKS.N) for $963.7 million." (12/6/2010, Reuters)
$BGP is trading at 96 cents, right around the 1-year low (chart 2). It hit an intra-day low of .87 before closing at .96 (chart 1). Get ready for something interesting to happen!
Charts courtesy of Yahoo Finance (click for larger view)